A powerful typhoon has delayed stock trading in Hong Kong early Wednesday, and forced businesses and schools to close.

In addition, more than 400 flights in and out of Hong Kong have been canceled.

Hong Kong has issued typhoon signal No. 10 for Typhoon Hato, the highest level, Reuters reported.

Sea levels could rise by up to 15 feet in some places, the report said.

The typhoon was about 37 miles south of Hong Kong and moving toward mainland China’s Pearl River Delta.

Weather authorities said Hato had sustained winds of 103 mph with severe gusts.

A direct hit on Hong Kong was not expected.

This story includes reporting from the Associated Press.